Tag Archives: liquidity

Dear Friends, As the SEC stated in its Examination Priorities for 2015, the OCIE will focus on alternative investment companies and never before examined investment companies, covering, but not limited to, the following areas: Leverage, Liquidity and Valuation Policies and Practices; Internal Controls: Compliance Personnel, Staffing, Funding, and Empowerment of Boards; and Marketing Funds to Investors. In response, we are […]

August 12, 2014 Dear Friends, The SEC has begun its sweep exams of alternative mutual funds. As we mentioned in a previous alert, the SEC’s sweep will focus on a variety of areas including liquidity, leverage, and board oversight. Please click here for a speech by Norm Champ, Director of the SEC’s Division of Investment Management, outlining the areas of […]

Dear Friends, The SEC will begin its sweep exams of alternative mutual funds “this summer or fall,” said Norm Champ, Director of the SEC’s Division of Investment Management, focusing on the following areas: Liquidity: Ability to satisfy investor redemption requests in a timely manner and compliance with liquidity thresholds – no more than 15% of net assets in illiquid securities […]

A paradigmatic shift in market behavior occurred after the collapse of 2008. The commonly accepted drivers of market direction, most especially economic cycles, no longer applies in this post apocalyptic financial farce. In fact, constant Fed / Government intervention and outright manipulation has produced a parallel universe where “good” economic news is bad for the markets and “bad” economic news […]

Stock Market Strategy: All signs point to a continuation of the current rally. We will continue to use the direction of liquidity and the behavior of the credit markets as our fundamental guides to equity investing. The primary news story making the rounds today involves the European bank stress test results. I have included the official results and accompanying statement […]

In the wake of one of the most severe liquidity crises in recent memory, the vast majority of hedge fund managers have seen their assets under management shrink considerably over the past twelve months. Whether in the name of paring back on risk, exiting losing positions, reducing portfolio volatility, or simply rebalancing portfolios, investors have used a litany of reasons […]